Question

What are the monthly payments on a $75,000 universal-life insurance policy for a 35-year old female using a preferred rate? Using the charts below.

Estimated Annual Life Insurance Premium Rates per $1,000 of Face Value
10-Year Level Term
Age	Male			Female
	PREF	NT	T	PREF	NT	T
20	0.87	1.27	2.28	0.75	1.10	1.88
25	0.87	1.27	2.28	0.75	1.10	1.88
30	0.87	1.36	2.49	0.75	1.16	2.06
35	0.87	1.44	2.73	0.75	1.26	2.23
40	1.13	1.96	3.78	1.00	1.57	2.93
45	1.51	2.69	5.33	1.38	2.12	4.08
50	2.03	3.76	8.08	1.72	2.98	5.78
55	2.95	5.61	12.48	2.27	4.44	8.33
60	4.61	9.07	20.07	3.46	6.95	12.57
PREF = preferred; NT = non-tobacco; T = tobacco usage
Estimated Annual Life Insurance Premium Rates per $1,000 of Face Value
20-Year Level Term
Age	Male			Female
	PREF	NT	T	PREF	NT	T
20	1.09	1.50	2.86	0.91	1.31	2.56
25	1.09	1.50	2.86	0.91	1.31	2.56
30	1.13	1.61	3.24	0.96	1.42	2.67
35	1.17	1.73	3.62	1.02	1.53	2.78
40	1.49	2.36	5.38	1.26	2.00	3.77
45	2.23	3.73	8.42	1.75	2.92	5.57
50	3.45	5.99	12.90	2.59	4.40	8.02
55	5.38	9.52	19.15	3.96	6.66	11.45
60	8.46	15.15	29.14	6.17	10.36	16.74
PREF = preferred; NT = non-tobacco; T = tobacco usage
Estimated Annual Life Insurance Premium Rates per $1,000 of Face Value
Whole Life
Age	Male			Female
	PREF	NT	T	PREF	NT	T
20	8.39	9.02	10.55	7.55	8.12	9.95
25	9.51	10.22	12.70	8.65	9.30	11.59
30	10.86	11.68	14.77	9.82	10.56	13.48
35	12.37	13.30	16.59	10.97	11.80	14.85
40	14.42	15.50	19.31	12.54	13.48	16.69
45	17.65	18.98	24.03	15.14	16.28	20.43
50	22.45	24.14	30.65	19.09	20.53	25.39
55	28.67	30.82	39.00	24.11	25.92	30.97
60	36.06	38.77	49.39	29.75	31.99	37.25

Estimated Annual Life Insurance Premium Rates per $1,000 of Face Value
Universal Life
Age	Male			Female
	PREF	NT	T	PREF	NT	T
20	5.25	5.78	7.17	4.53	4.65	5.97
25	6.21	6.69	8.61	5.37	5.61	7.17
30	7.41	8.13	10.29	6.45	6.81	8.73
35	9.09	9.93	12.69	7.89	8.25	10.77
40	11.25	12.33	15.69	9.69	10.17	13.41
45	14.01	15.45	19.65	12.09	12.69	16.77
50	17.61	19.17	24.45	15.09	16.05	21.33
55	22.41	24.57	31.41	18.93	20.25	26.97
60	28.77	34.53	43.65	23.97	28.29	37.53

Premium Rates for Periods Less than One Year
Period	Percent of Annual Premium
Semianually	51.00
Quarterly	26.00
Monthly	8.75

Answer 1

Estimated Annual Life Insurance Premium Rates per $1,000 of Face Value
Universal Life
Age	Male			Female
	PREF	NT	T	PREF	NT	T
20	5.25	5.78	7.17	4.53	4.65	5.97
25	6.21	6.69	8.61	5.37	5.61	7.17
30	7.41	8.13	10.29	6.45	6.81	8.73
35	9.09	9.93	12.69	7.89	8.25	10.77
40	11.25	12.33	15.69	9.69	10.17	13.41
45	14.01	15.45	19.65	12.09	12.69	16.77
50	17.61	19.17	24.45	15.09	16.05	21.33
55	22.41	24.57	31.41	18.93	20.25	26.97
60	28.77	34.53	43.65	23.97	28.29	37.53

Calculation of annual premium on the $ 75000 universal life insurance

=75000* 7.89 per $1000(from table below in bold)

= $ 591.75

So Annual premium on the policy is $ 591.75, Monthly premium is 8.75% of annual premium as per table 2:

= $ 591.75*8.75%

=$ 51.78

Monthly payments on a $75,000 universal-life insurance policy for a 35-year old female using a preferred rate is        $ 51.78